Sorrento Therapeutics, Inc.'s Bankruptcy Court Approves Elective Offering Of Restricted Common Stock Of Scilex Holding Company For Dividend Short Holders
Portfolio Pulse from Happy Mohamed
Sorrento Therapeutics, Inc. (OTC:SRNEQ) has received approval from the U.S. Bankruptcy Court for the Southern District of Texas to offer a portion of its common stock in its non-debtor public subsidiary, Scilex Holding Company (NASDAQ:SCLX), to Dividend Short Holders. The offering will allow these parties to purchase restricted Scilex stock to cover their short positions. The price will be determined by Sorrento's Chief Restructuring Officer, in consultation with the Official Committee of Unsecured Creditors and the Official Committee of Sorrento Equity Securities Holders.
July 20, 2023 | 1:03 pm
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NEUTRAL IMPACT
Scilex Holding Company's stock will be offered to Dividend Short Holders by Sorrento Therapeutics. This could potentially impact the stock price of Scilex depending on the response of the Dividend Short Holders.
The offering of Scilex stock to Dividend Short Holders could potentially impact the stock price of Scilex. However, the direction of the impact is uncertain as it depends on the response of the Dividend Short Holders and the market's perception of the move.
CONFIDENCE 90
IMPORTANCE 75
RELEVANCE 100
NEUTRAL IMPACT
Sorrento Therapeutics has received court approval to offer Scilex Holding Company stock to Dividend Short Holders. This could potentially help Sorrento in its ongoing bankruptcy case.
The court approval allows Sorrento to offer Scilex stock to Dividend Short Holders, which could potentially help Sorrento in its ongoing bankruptcy case by providing additional liquidity. However, the impact on the stock price is uncertain as it depends on the response of the Dividend Short Holders and the market's perception of the move.
CONFIDENCE 90
IMPORTANCE 75
RELEVANCE 100